You Recently Sold 100 Shares of Your New Company, XYZ

question 42

Multiple Choice

You recently sold 100 shares of your new company, XYZ Corporation, to your brother at a family reunion. At the reunion your brother gave you a cheque for the shares and you gave your brother the share certificates. Which of the following statements best describes this transaction?

• A) This is an example of an exchange of physical assets.
• B) This is an example of a primary market transaction.
• C) This is an example of a direct transfer of capital.
• D) This is an example of a money market transaction.